The FBM KLCI index lost 19.62 points or 1.07% on Friday. The Finance Index fell 1.17% to 17456.47 points, the Properties Index dropped 0.67% to 1178.96 points and the Plantation Index down 0.28% to 7946.03 points. The market traded within a range of 17.98 points between an intra-day high of 1824.23 and a low of 1806.25 during the session.

"The fall in the U.S. markets precipitated the decline in the Philippine market as well as the regional market," said Manny Cruz, an analyst with Asiasec Equities Inc in Manila.

Even though the Philippine central bank kept its benchmark interest rate steady on Thursday, real estate stocks were hit as investors anticipated that the apex bank will raise rates in the near future.
"Given the increase in January inflation, there is some worry that Bangko Sentral ng Pilipinas (BSP) will be compelled to hike rates, and this is the reason why you are seeing some selling in real estate stocks, especially blue-chip Ayala Land," added Cruz.

It is commonplace in journalism to write two types of articles at the transition point between the year that has passed and the New Year. As this writer qualifies as an “old hand” in observing Thailand with a track record dating back 14 years, it is time take a shot at what may unfold in Thailand in 2011.

The first issue that can’t be answered is the health of Thailand’s beloved King Bhumibol, who is now 83 years old. He is the world's longest reigning monarch, but elaborate birthday celebrations in December failed to mask concern over his health. More